Tk146cr BRAC Bank shares change hands

A sudden large transaction involving BRAC Bank shares took place in the block market of the Dhaka Stock Exchange (DSE) today.

On the day, 2.96 crore shares of BRAC Bank, worth Tk146 crore, were traded at a negotiated price of Tk49.20 per share.

Block trades are large, privately negotiated transactions typically executed outside the public order book to avoid impacting the market price. According to DSE rules, any transaction worth Tk5 lakh or more qualifies as a block trade.

Sources said the transaction involved foreign shareholders reallocating assets within their investment portfolios.

A senior official at a brokerage firm explained, "Such transactions are common in foreign portfolios. For example, an asset manager handling multiple foreign portfolios might redeem shares from one account to meet liquidity needs and transfer them to another portfolio. A similar portfolio reshuffle took place with BRAC Bank shares."

According to the shareholding report as of March, sponsors and directors hold 46.17% shares of the bank, while institutional investors have 14.24%, foreign shareholders 31.97% and the remaining hold by the general shareholders.

The bank reported a remarkable profit of Tk1,431.84 crore in 2024, which is 73% higher from the previous year and highest in its history. 

Riding on the robust profit, it recommended 12.5% cash and 12.5% stock dividend to its shareholders for the last year, according to its price sensitive statement that was approved at the 25 April board meeting.

To approve the dividend, the bank will conduct the annual general meeting on 19 June, and the record date is 25 May.